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Below is an Interesting article I found, which says that.....Do not
; g* M8 b# u3 @& ^* D& M( N% Rexpect much from Crude Oil producers and future is not with the . g7 m, Q# |* X/ T4 w
companies producing Jet fuels but Biofuels. Also no wonder if some of
% D& ]# _# P$ u" a4 E p' {! r( Jthese oil producer will go bankrupt or out of the business even if ! u! V7 g, o% Q5 ?1 q7 l
crude prices improves. This implies also to good names such as Shell,
/ p" S! U: o) t7 C, v" T0 L* NEXXON, BG, BP, Cheveron ....xyz.. oils
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Recently OPEC reduced crude oil production twice over just a few % W9 G0 I, ^0 ]2 R" |4 ^9 ]
months. There are three wars going on in Gaza, Iraq and Afghandistan. 9 q8 A4 X8 ~* q& Y: x
A year ago these things would have spiked the price of crude oil by at
9 v/ W4 f- x# H O, zleast $50.00 per barrel. Today, oil price declined by a record amount.
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There are several reasons the price of oil is decreasing in the face
, s$ V& }' S& r8 D2 Hof so much news. These reasons are: * U4 N4 S) Q' u
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7 |( Q9 }; [8 T" q% f1. New oil has been found in Canada, Montana, North & South Dakota and
- U3 K, s4 G ?' L+ j3 c2 n' Jin the ocean near Brazil. Each of these oil fields has more oil than $ Z% t" f& }/ C" n
Arabia. % e& {# G, o& Z' M) ]
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2. New natural gas has been found in Pennsylvania and West Virginia.
3 Q8 {* U) {. V, ]. d! @$ JThis is the largest find in North America. ( e7 P" n. _# r$ s: o+ J2 T
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3. New methods of injecting CO2 and surfactants into oil wells is
! _" d9 K2 \1 f, m4 y; H$ L/ ibeing used to double their output. & ~$ n$ I$ T, `% \
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6 Q9 e. r- x% \4 E4 D$ w$ W4. Production of bio-fuels is beginning to reach critical mass. Bio / w; f9 }% l9 X4 i) }
fuel is being produced from many plants and algae. The production
1 S) [( U R/ \! d$ C2 u" w+ ~potential per acre in some cases is astounding. Many countries are ; B' P2 _! c" w
racing to produce bio fuels. + c- i7 D4 T& e# j8 `/ |( }3 z
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* W8 Q5 L: F0 h+ u" t0 p) z, z( Y5. Virtually every restaurant in the US and all food processing plants " V) a# V1 ~6 B4 t" t8 Y
are now selling their used oil to bio-diesel producers. Every pork,
- k5 W1 K1 _# l( F( @9 dcattle, turkey and chicken processing plant will soon sell their fat ) [: P/ o& h. u; I- [; x$ V% Q7 m- F$ `
to bio-diesel producers. One pork processing plant in Oklahoma is - \9 h1 ~& [5 L; @, P' F
producing 30,000 gallons of bio-diesel per day from pork fat. + E/ J$ R' l/ P
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7 ~/ g( R2 g7 h: m+ w" B6. There are 99 nuclear reactors in various stages of planning and
5 {3 o8 y* k9 W. K6 v9 z1 w3 cconstruction around the world at this time. Several hundred more are & M% |" B% g# ]4 i5 }+ O8 @3 Y c9 x
expected to be built in the future. Much of the energy they produce 1 u9 Z- |( ]: u3 s
will replace oil.
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7. Every company in any form of transportaion business is replacing }4 i- B k9 y! J) ]$ T
older equipment such as trucks, airplanes, train engines, ships, etc. % ~1 \( y/ N( U) U" j3 X0 h
with new more fuel efficient equipment. Airlines and railway companies
- [5 ]; P" |# | f( I, v0 P% @6 Rare experiencing 20% to 25% better fuel econony with the new
- E4 F0 G2 q7 dequipment. 3 e1 F7 x5 h9 C# A" m
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5 ]8 l: C; X+ W) e$ MAirlines are flying airplanes with bio-fuel. They are finding the bio- % l- u: O$ X( y, C8 C i- Y" N2 E5 t5 p
fuel is cleaner and performs better than jet fuel.
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/ e; a( \8 Y, [5 |# i) U4 `8. Cities and counties throughout the US are selling the rights to 2 A7 _% H4 ], z) I( W3 T6 X6 M
capture methane gas from landfills. This is a huge source of gas
6 y2 T5 m' Q7 H \$ P3 ?available at very little cost or risk. The gas is displacing crude 8 O/ g8 I: x: v$ l7 l, Z( c% y
oil.
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9. Coal is being transformed into a clean burning liquid fuel. The CO2
! Y9 c5 w" w3 p/ zproduced as a byproduct is sold to oil companies for injection into
9 ]3 j7 u4 ]# doil wells. 7 a5 z7 z7 P0 k7 h- [
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10. Solar, wind and ocean energy is displacing oil as an energy
% s% w/ {) U) R5 \/ |6 wsource. Three new wind turbines are being erected every day in the US. 6 t/ _9 c; d9 P s9 `, ~
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( b! U; N4 T: }. \Each of the above by itself will not make a large difference in the 2 i+ z0 M; B/ v
price of crude oil but the sum of all of them together is world 8 Z7 t5 |+ L/ M- g! t D0 |5 o2 R
changing. The important thing is that OPEC no longer has the ability $ m0 k) q/ |& L! S3 Z
to control oil prices.
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With the above scenario, I still believe that there are under
: m. ]7 @ R. {9 f L. Y5 |performed OIL companies and probably they are yet to get the justified
2 Y4 g) U# w+ V( svalue ..... : Q4 F& Q# k* y# t6 ]4 M
IAE- Ithaca , EPL Energy Partners Ltd, Opti etc ... x2 ^8 w% Y4 R
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The above articles are from WSJ .............PUBLISHED ON 9TH JAN ' `8 E( C: B/ P Z. d5 @8 C8 B. x: V
2009 ... FYI-Only |
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